USDA grants massive farm subsidy payments
Story Date: 5/23/2018

 

Source: POLITICO'S MORNING AGRICULTURE, 5/22/18

A rice, soybean and corn farm scored big in 2015 when it collected $3.7 million in subsidies -- the largest chunk of the $2.7 billion in support payments USDA made to farmers that year, according to new GAO report carried out at the request of Sen. Chuck Grassley. The report sought to examine which types of farms have received USDA support and how much the department has made in subsidy payments, reports yours truly.

The 2014 farm bill set new criteria for subsidies by stipulating that farmers must be "actively engaged" in a farm's operations to be eligible for up to $125,000 each per year. The new regulations were carried out in 2015 and set a more specific definition for what it means to be considered actively engaged in a farm's operations.

Attempt at reforms: Grassley has gone after the Farm Service Agency's "actively engaged" rule for containing loopholes that hinder the government's ability to detect fraud. Expect to see an effort from Grassley to implement further reforms in the Senate farm bill set to be released in coming weeks. Rep. Mark Meadows (R-N.C.), chairman of the conservative House Freedom Caucus, tried to offer an amendment to the failed House farm bill, H.R. 2 (115) , that would have tightened payment requirements, but the provision didn't make it through the Rules Committee.

























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